- Despite the COVID-19 pandemic, the ORLEN Group has been carrying on with its investments as planned. This is exemplified by the construction of Poland’s first and Europe’s second green glycol production installation to be launched next year. According to the new PKN ORLEN strategy, we are planning to devote more than 30 billion zlotys to sustainable development, including more than 25 billion zlotys to investments aimed to reduce carbon dioxide emissions. We have a specific goal and we know how to pursue it. This is why we have consistently increased our focus on biofuels and biomaterials, and we have been strengthening our position on the market of alternative fuels, including hydrogen. The investments we have implemented in the south of Poland will be key for our future development in these areas - says Daniel Obajtek, the President of the Management Board of PKN ORLEN.

 

A year after the cornerstone was laid in Trzebinia, marking the commencement of construction of the first environmentally-friendly propylene glycol production installation in Poland, the progress of works is 77 per cent. At the end of 2021, ORLEN Południe will produce 30 thousand tons of ecological glycol a year. This is 10 thousand more than Europe’s single installation of this type, which is located in Belgium. This investment worth about 400 million PLN will allow us to cover up to 75% of the domestic demand for glycol. This environmentally-safe product is used in the cosmetic or food industry, as well as in medicine, for instance in the production of hygienic products and pharmaceuticals. In long-term, this will improve Poland’s security in the event of an epidemiological threat.

 

A hydrogen production plant will also be completed until the end of 2021. It is an integral part of the green glycol production complex, which will utilize about 75 per cent of the annual hydrogen production, which will be 16 million Nm3. The remaining 25 per cent will be to-quality hydrogen, which will be instantly used as fuel in transport. The hydrogen fuel from Trzebinia will power the public fleet of the Silesian and Cracow agglomerations. PKN ORLEN has signed letters of intent in this area.

 

The ORLEN Group has reached the most substantial progress in its preparations to the launch of hydrogen technologies on the Polish market. Apart from the hydrogen production plant in Trzebinia, the Group will also oversee the selection of a hydrogen hub contractor in Włocławek. The hub will ultimately produce up to 600 kg of purified hydrogen per hour. The investment encompassing a production installation, logistics infrastructure and distribution infrastructure is an important element contributing to the Concern’s pursuit of emission neutrality in the area of alternative fuels. A similar investment is planned in Płock.

 

PKN ORLEN is also focused on developing new business lines at ORLEN Południe. The Group is analyzing the concept of building the most technologically advanced oil pressing plant in Poland, which would produce for ORLEN Południe. The project is currently in the analysis phase. If implemented, it would increase the security and stability of rapeseed oil supplies and would partially emancipate the company from foreign supply chains. ORLEN Południe has already bid on an attractive plot in the Warmińsko-Mazurskie region (in Kętrzyn), where this investment could be located.

 

The competences of another company from the Group - ORLEN OIL - are also developed in the south. A Central Warehouse was launched a year ago in Trzebinia, for the purpose of increasing the logistics efficiency and reduce operating costs. Throughout the year, warehouse managers completed nearly 11 thousand operations related to order picking. Thanks to this investment, 58 new jobs were created to the benefit of local communities. From Trzebinia, through the Central Warehouse, advanced ORLEN OIL products, such as Platinum oils, are distributed not only to ORLEN petrol stations, but also to other partners from Europe, in the Middle East, in Asia or South America.

 

Thanks to its developmental and investment initiatives, ORLEN OIL has significantly improved its financial result over the recent years. After three quarters of 2020, the net profit of the company is about PLN 57 million. Since 2017, the company has consistently increased employment, with nearly 400 workers today.

 

In turn, from its foundation in 2015, ORLEN Południe has maintained a good financial result, which allowed it to increase its investment expenditure in the recent years. In the first three quarters, the company’s CAPEX was PLN 222 million. ORLEN Południe is also an important employer in the region. The Trzebinia facility provides jobs to 378 people employed by ORLEN Południe and 33 - by Energomedia. In turn, the Jedlicze plant employs 289 workers.